Coal stock increases in some mines on regulated lifting: CIL

CIL accounts for over 80% of the domestic coal output is eyeing 550 MT of coal production by the end of current fiscal

State-owned Coal India Tuesday said the stock in some of its mines has increased due to regulated lifting by the power producers.

"Due to regulated lifting by the power houses, coal stock has increased in some of the mines of Coal India Ltd," the PSU said in a filing to BSE.

The filing to the bourses by Coal India Ltd (CIL) was in response to clarification sought by the exchanges with respect to a news report - 'CIL temporarily halts production at its mines over lack of demand'.

"Increase in stock will create stock management problems, deterioration in quality of coal and coal may catch fire," the filing said.

"As such some of the mines have regulated production. However, on 7th March 2016, the company achieved a positive growth of 9.3% and absolute growth of 41.81 million tonnes compared with same period last year," the filing said.

Coal Secretary Anil Swarup had earlier said the PSU has temporarily stopped production in one or two mines because of the accumulation of the stock at the blocks.

"In one or two mines where the stock gets accumulated they (CIL) stop the production. They (CIL) stop it every year. This year also they have stopped," the Secretary said.

CIL which accounts for over 80% of the domestic coal output is eyeing 550 million tonnes of coal production by the end of current fiscal.